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ITAR screws up DoD contract

May 19, 2008 by · Comment
Filed under: ABB Bomem, Canada, Federal Budget Process, production program 

According to this article, a Canadian company, ABB Bomem Inc., was a subcontractor to a US firm making a system for the US military. It needed parts from an American company that were delayed several months due to the International Trafficking in Arms Regulations (ITAR). ITAR is a complicated legal process governing the export of American weapons and components to foreign entities. Since the Clinton scandals of the Nineties they have been ramped up a lot. Of course with the international integration of the worlds defense production they have also made it harder for US companies to do business with foreign nations and companies, as well as making it worse for foreign companies trying to get in to the large US market. This is why BAE, EADS and Finemeccanica are trying to buy US companies. Since they are already in the US and are considered American it makes it easier to operate under the ITAR.

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